00SENATE BILL NO. 178                                                                                                     
01 "An Act relating to small employer health insurance."                                                                   
02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
03    * Section 1.  AS 21.56.160(b) is amended to read:                                                                    
04  (b)  A small employer insurer that cannot offer coverage under (a)(3) of this                                         
05 section may not offer health insurance coverage in the applicable area to new cases of                                  
06 employer groups with more than 50 [25] eligible employees or to small employer                                        
07 groups until the later of 180 days following each refusal or the date on which the                                      
08 insurer notifies the director that it has regained capacity to deliver services to small                                
09 employer groups.                                                                                                        
10    * Sec. 2.  AS 21.56.250(23) is amended to read:                                                                      
11   (23)  "small employer" means a person, firm, corporation, partnership,                                               
12 or association actively engaged in business whose total employed work force consisted                                   
13 of, on at least 50 percent of its working days during the preceding 12 months, at least                                 
14 two but not more than 50 [25] eligible employees, the majority of whom are employed                                   

01 within the state; in determining the number of eligible employees, companies that are                                   
02 affiliated companies or that are eligible to file a combined tax return for purposes of                                 
03 federal taxation, are considered one employer; except as otherwise specifically                                         
04 provided, provisions of this chapter that apply to a small employer that has a health                                   
05 benefit plan continue to apply until the plan anniversary following the date the                                        
06 employer no longer meets the requirements of this definition;                                                           
07    * Sec. 3.  Section 11(e), ch. 39, SLA 1993, is amended to read:                                                      
08  (e)  Notwithstanding AS 21.56.070, enacted in sec. 5 of this Act, the board of                                        
09 directors of the Small Employer Health Reinsurance Association shall provide the                                        
10 report required under AS 21.56.070 to the director of the division of insurance                                         
11 annually until December 31, 1999 [1997].